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Walmart reports slowest sales growth in over six years

Comparable-store sales rose 2.6% excluding fuel, and Walmart plans to use up to $3 billion of anticipated tariff refunds for price cuts.

Reported · Written up by our desk · Previews

Walmart said US sales in the most recent quarter grew at their slowest pace for more than six years, a pattern the company linked to consumer pressure from higher fuel costs and weaker pharmacy performance, according to BBC Business.

The retailer reported comparable sales across its US locations rose 2.6% between May and July, excluding fuel, as it leaned on a broad program of price rollbacks. Walmart also said it expects to use up to $3 billion of anticipated tariff refunds to lower prices and sustain spending momentum.

Walmart attributed the shift in shopping behavior to rising petrol prices, noting it became clearer once fuel went above $4 per gallon. Chief financial officer John David Rainey said lower-income households, a core part of the customer base, were feeling squeezed and pulling back on non-essentials, while focusing spending on food and staples.

BBC Business also noted that analysts view part of the quarter’s profit lift from tariff refunds as a one-off benefit that may not recur to the same extent, while the rollbacks could weigh on margins. Walmart is also spending on automation, new warehouses, and tech upgrades, and it said the benefits were showing most clearly in food and other staples, with some cuts potentially remaining if they continue resonating with shoppers.

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